Nordea has reaffirmed its sell recommendation for research company Bioarctic, citing what it sees as an excessively high valuation.
The bank notes that Bioarctic's fair value stands at around 220 kronor when assessed on a sum-of-the-parts basis, which remains Nordea's current target price for the stock.
However, Bioarctic is currently trading near the 300 kronor mark. At this level, Nordea believes that the potential of the company's Braintransporter technology is already priced in. The bank also warns that "investors do not fully appreciate the continued slow uptake of Leqembi."
Nevertheless, the analysis adds that a better-than-expected uptake of Leqembi, following its approval for subcutaneous administration, represents the main upside risk to Nordea's sell recommendation.
Bioarctic shares fell by 7.2 percent on Thursday.
